UK: Organic farm incomes remain competitive

Source: Organic Research Centre

The latest report on organic farm incomes in England and Wales has found that income for organic farms remain competitive with those of comparable conventional farms, despite challenging organic market conditions, according toOrganic Research Centre. The report for the Department for Environment, Food and Rural Affairs funded Organic Farm Incomes project has been jointly published by the Institute of Biological, Environmental & Rural Sciences, (Aberystwyth University) and Organic Research Centre. (Picture: Farming in the UK)

The 2010/11 report includes farm business data for 212 organic farms across England and Wales. The analysis found that farm business income for most organic farm types was higher or similar to that of comparable conventional farms. Farm business income was significantly higher for organic farms than comparable conventional less favoured area cattle and sheep holdings, whilst profitability did not differ significantly between other organic and conventional farm types. 

The project also assessed year to year changes by comparing profitability for an identical farm sample in 2010/11 with results for 2009/10. Substantial increases in profitability were observed on organic and conventional cropping and horticultural holdings, with some increase also seen on LFA dairy holdings. Profitability decreased for other organic dairy and livestock farm types, though not significantly, whilst conventional cattle and sheep farm profitability decreased significantly. Gross and net margins were also calculated for organic and conventional systems. More information is available here.

01.08.2012